Provided by Burlington County Shared Services Program
The Mayor and Township Committee of Edgewater Park are inviting owners of rental property in the Township to apply to Edgewater Park’s Rental Rehabilitation Program. Owners of occupied rental units can receive up to $15,000 per unit for major code-compliance repairs or system replacements in exchange for applying a 10-year deed restriction to maintain each program-assisted unit as affordable housing. Vacant units can receive the same $15,000 per unit; however, they are subject to a 30-year deed restriction. There is no cost to apply and it does not affect your credit score. Only units physically located within Edgewater Park are eligible.
Eligible uses of the funds include but are not limited to Heating and Electrical Systems, Plumbing System Components, Roofs, Weatherization (windows, insulation, etc.), and Foundations.
What is a Deed Restriction and what does it do?
Generally, a deed restriction is a document that is attached to the title deed of the property and runs with the land, regardless of change in ownership or physical alterations to the building and identifies specific uses that are or are not permitted on the land. In this case, the deed restriction will require that the identified rental units (or whole property if a single unit) must be maintained as affordable housing and only rented to income-eligible households at an affordable rental rate with allowable annual increases for a period of 10 or 30 years, depending on whether the unit is currently occupied. That means once the deed restriction is applied to the property, no matter who the unit is sold to, the next owner must maintain that unit as affordable housing until the affordability period has expired.
How does the Program work?
An initial phone consultation is used to determine initial eligibility, with a written application that must be submitted before CGP&H can fully determine program eligibility. Generally, if the property & tenant(s) are determined to be eligible, seventy-five percent (75%) of the construction cost, up to $15,000, is provided as a 0% interest 10-year loan, with the remaining 25% to be provided by the landlord. These funds are pro-rated based on the percentage of affordable units that are to be restricted as affordable.
Example A: Single Family Rental Property
- Landlord owns a single-family rental home (owner does not live on premises) that is currently tenant-occupied.
- Roof requires replacement at a cost of $10,000
- Edgewater Park will provide $7,500 of the construction cost as a 0% interest 10-year loan, provided the tenant is income eligible.
Example B: Multi-Family Rental Property
- Landlord owns a four-unit rental building
- Roof requires repair at a cost of $10,000
- Edgewater Park will provide a 0% interest 10-year loan for each unit the landlord choses to restrict, up to 75% ($7,500) of the total cost of repair. In this example, 1 unit is 25% of the total building (4 total units), so restricting 1 unit = $2,500 in eligible funds for the loan.
Landlords who are currently renting their units at prices that are already affordable are encouraged to participate. Please click the link below for a flyer with rents for 2022 that are within an affordable range for Edgewater Park. If you are renting units at these price ranges and your building is in need of repair, this program may be right for you!
Click Here to view the program flyer.
For further information or to register your interest in the program, please contact Dan Levin at email@example.com or by phone 609-642-4857.